Excel

[littlebit]

Version: 2008 Operating System: Mac OS X 10.5 (Leopard) Processor: Intel I have also experienced this problem using Windows XP Excel 2007

The formula =532.44*4*12 calculates the correct result 25557.89

Suppose in cell d3 I have the formula =-pmt(6.275%/12,4*12,22550)
I get the result $532.44

If in another cell I have the formula =d3*4*12
I get the incorrect result 25556.89

It should be the same result as above. I tried modifying the cell format, but it did not make any difference.

 

[Bob Greenblatt]

Version: 2008 Operating System: Mac OS X 10.5 (Leopard) Processor: Intel I
have also experienced this problem using Windows XP Excel 2007

The formula =532.44*4*12 calculates the correct result 25557.89

Suppose in cell d3 I have the formula =-pmt(6.275%/12,4*12,22550)
I get the result $532.44

If in another cell I have the formula =d3*4*12
I get the incorrect result 25556.89

It should be the same result as above. I tried modifying the cell format, but
it did not make any difference.

You are simply running into accumulated round off errors. How the cell is
formatted ONLY affects how the calculated value is displayed, not the cell¹s
actual value. Excel retains all internal values to 14 significant digits.
Thus if you highlight your formula in the formula bar and press F9 you will
see that the actual value is: 532.435215854699, NOT 532.44. So when
532.4352... Is multiplied by 48 the correct result is indeed:
25556.8903610256 NOT 25557.89

 

[littlebit]

Thank you for the information.